# What economic principle refers to the way that states differ in their abilities to produce certain goods because of differences in natural resources, labor force characteristics, technology, and other such factors? with Answer - International Relations Mcqs | TestPrep

> Solved MCQ: What economic principle refers to the way that states differ in their abilities to produce certain goods because of differences in natural resources, labor force characteristics, technology, and other such factors? Correct Answer: D. comparative advantage. Verified answer explanation for FPSC, PPSC, MDCAT, NTS, and CSS competitive exam preparation.

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# What economic principle refers to the way that states differ in their abilities to produce certain goods because of differences in natural resources, labor force characteristics, technology, and other such factors?

Direct Answer & Quick Reference

The correct option is **D. comparative advantage**.

A. consumer economics

B. Freedman economics

C. Keynesian economics

D. comparative advantage **(Correct Answer)**

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Verified Key: D. comparative advantage
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